Harshad Patel pays $8M for fee under hotel Patel owns in Maspeth

Harshad Patel through the entity New Ram Realty LLC paid $8 million to heirs of the late investors Mendy Taffel and Don Resnicoff through the entity Cjc Kcm LLC (and others) for the fee under the hotel building (H3) at 59-40 55th Drive in Maspeth, Queens. Patel controls the hotel through a 45-year ground lease he as tenant signed with the seller entity in 2004.
The deal closed on October 27, 2023 and was recorded on December 7, 2023. The property has 50,367 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $158 per the PincusCo analysis. (The price per square foot analysis is the transaction price divided by square feet as reported in public records and assumes no air rights have been sold.)
The signatory for the heirs of Mendy Taffel and Don Resnicoff was attorney Kevin Neveloff. The signatory for Harshad Patel was Harshad Patel. The contract date was August 1, 2023. The sellers are the heirs of Mendy Taffel and Don Resnicoff, both now deceased who founded a trucking company, Mendon, in 1958. Patel in 2004 signed a 45-year ground lease signed by Don Resnicoff.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Harshad Patel had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Mendy Taffel had not purchased any other properties and had not sold any properties over the same time period. The former owners according to the Department of Housing Preservation and Development includes Harshad Patel, head officer and Milan Patel, officer. The business entity is New Ram Realty Llc.

The property

The hotel building in Maspeth has 50,367 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 200 feet and is 200 feet deep with a total lot size of 40,000 square feet. The lot is irregular. The zoning is M1-1 which allows for up to 1 times floor area ratio (FAR) for manufacturing The city-designated market value for the property in 2022 is $8.2 million. The most recent loan totaled $6.8 million and was provided by BNB Bank on March 29, 2018.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the property for the past 24 months. In addition, according to city public data, the property has received six DOB violations and $350 in OATH penalties in the last year.

Development

There are no active new building construction projects or major alteration projects with initial costs more than $1 million on this tax lot.

The neighborhood

In Maspeth, The majority, or 73 percent of the 22.3 million square feet of commercial built space are industrial buildings, with specialty buildings next occupying 8 percent of the space. In sales, Maspeth has 1.9 times the average sales volume among other neighborhoods with $660.9 million in sales volume in the last two years and is the 4th highest in Queens. For development, Maspeth has had very little major development activity relative to other neighborhoods.It had 745,919 square feet of commercial and multi-family construction under development in the last two years, which represents 3 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of one of the 10 commercial properties representing 50,367 square feet of the 87,588 square feet. The identified owner is Harshad Patel.
There are no active new building construction projects on this tax block.

The majority, or 58 percent of the 87,588 square feet of built space are hotel buildings, with industrial buildings next occupying 26 percent of the space.

The buyer

The PincusCo database currently indicates that Harshad Patel owned at least three commercial properties in New York City with 95,190 square feet and a city-determined market value of $21 million. (Market value is typically about 50% of actual value.) The portfolio has $11.8 million in debt, borrowed from BNB Bank and Woori America Bank. Within the portfolio, all identified are hotel properties. The bulk, or 53 percent of the built space, is in Queens, with Brooklyn next at 47 percent of the space.

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